Tips For Successfully Filing The Right Way For Bankruptcy

by Dori Tery on November 2, 2015

Bankruptcy is a decision and should not be lightly considered. Learn as much as you can prior to doing anything.

Don’t avoid telling your lawyer specific details in your case. Don’t assume they already know and that he will remember something you told him weeks ago. Speak up, as this is your future we are talking about here.

The Bankruptcy Code provides a listing of various assets that are not included in the bankruptcy process. If you fail to go over this list, you could be setting yourself up for a lot of stress when your most important possessions are taken in the bankruptcy.

The person you choose to file with needs to know both the good and accurate picture of your finances.

Filing a bankruptcy petition might facilitate the return of your property, like your car, electronics and jewelry items. You should be able to get your possessions back if the repossession occurred fewer than 90 days ago. Speak to a lawyer who will be able to help you file the entire thing.

Bankruptcy filings don’t necessarily mean that you have to lose your home. Depending on if your home’s value has gone down or if it has a second mortgage, you may end up keeping it. You are still going to want to check out the homestead exemption because it may allow you to keep your home.

In order for this to succeed, your car loan must be one with high interest, you need a solid work history and the car should have been bought 910 days or more prior to you filing.

Make sure that you act at an appropriate time. Timing can be critical when it comes to personal bankruptcy filings. Sometimes, filing as soon as you can is best, at other times, you should wait until the worst is over. Speak to a bankruptcy lawyer about when the best time is to file for your specific needs.

It is not uncommon for bankruptcies to elicit feelings of guilt, guilty or ashamed. These feelings do not help you to make rash decisions and provide no value.

Credit Counseling

Consider all of your options available before filing for personal bankruptcy. You may want to consider credit counseling instead. You can get the help you need from non-profit credit counseling companies. They will liaise with your creditor about getting your payments and interest. You can even pay your creditors.

Be careful on how you are planning to pay off any of your debts before you file a personal bankruptcy. Bankruptcy rules generally outlaw repayment of creditors in the 90 days leading up to a bankruptcy filing, such as the previous 90 days worth of credit card debt. Know the laws prior to deciding what you jump in feet first.

Just because you have filed for bankruptcy it does not necessarily mean you must lose everything you own. You can often keep your personal property. You may keep personal items like jewelry, your furniture, clothes and electronics. This will depend on your state’s laws, the type of bankruptcy you file for, and your state’s laws, but you could hold onto your large assets like the car and the family home.

As is evident from the information you just read, the bankruptcy process takes time. By going through the process correctly, the outcome will be further in your favor than it might otherwise have been. By applying the above ideas, you can make certain that you handle all your details with full attention.

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